With the imminent closure of the Stratford Duralie operation in the Gloucester area later this year, MidCoast Council has been working closely with the mine's owner, Yancoal and its consultants, along with the Gloucester Business Chamber in an effort to address possible economic impacts to the area.
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This information was shared with councillors by liveable communities director, Paul De Szell after Cr Peter Epov put forward a question with notice before the February ordinary meeting.
Cr Epov asked for details of what economic development (ED) initiatives could has implemented to support the Gloucester community, as a result of Yancoal's well-known and highly publicised departure from the region.
He said this would cause massive upheaval in employment.
Council has not implemented any specific ED initiatives to support the Gloucester community as there has been no resolution of council to do so, Mr De Szell responded.
"In this regard, it should be noted that Yancoal is currently in the process of closing its operation and has not yet departed from the region," he said.
Mr De Szell said council did not at this stage have an ED committee.
"The MidCoast Economic Development Strategy Reference Group was established primarily to develop the MidCoast Economic Development Strategy.
"This reference group completed its scope - in accordance with the reference group terms of reference - and tasks when the MidCoast ED strategy was adopted on June 28, 2023.
"Importantly, the ED strategy adopted in June 2023, outlines several Gloucester-specific actions which aim to support economic activity."
Mr De Szell said these were:
- Create a strategy to identify the businesses required to maximise the growth of the Gloucester and Barrington Tops tourism;
- Identify the businesses to attract to promote the growth of the Gloucester Industrial Park and Ag-Tech Hub, and
- Where possible and appropriate, work with the private developer on the potential adaptive reuse of Gloucester's Old Butter Factory.
"There are additional Gloucester-specific actions which have been outlined in the Destination Management Plan 2030, which will soon be presented to council for adoption.
"The ED team will continue to engage with the Gloucester Business Chamber to deliver outcomes against these actions."
However, Cr Epov said he was somewhat confused with the response.
Council's ED committee, was established by a resolution of council, he said.
"I don't recall that the terms of reference for the ED committee contained a specific sunset clause terminating the appointment of members.
"On page four of the terms of reference under the paragraph titled: "Dissolution" the clause reads: 'Council may determine to dissolve the reference group'.
"To my knowledge there has been no formal report nor an adopted resolution which dissolved this committee.
"Further it is my understanding that council has not written to the individual committee members, particularly, those from the community, advising them of the cessation of the committee and thanking them for their service.
"As to the economic consequences for Gloucester, my concerns still remain, and I don't believe council is doing enough at this critical time, particularly where it has been quantified that the departure of Yancoal could cost the small Gloucester economy upwards of a $100 million a year.
"Yancoal announced their decision last year, council should have either used the existing committee or established a new committee to help address all the key issues.
"The longer the delay the less assistance that may be available, or that might be secured.
"I only have to reference the consequences on the Taree economy, when Schefenacker withdrew and then followed by UGL."